Question

Explain how business can improve service with the use of technology as it relates to

i.        Efficiency

ii.       Speed

iii.      Convenience

iv.      Diversification of service

Cite 3 advantages and 2 disadvantages of the use of the above in customer service delivery

Answer 1

1) Explain how business can improve service with the use of technology as it relates to.

Efficiency:- For any business there are certain costs associated to produce the desired product or service for achieving efficiency we need to reduce the cost associated to it and reduce the wastage of the use of resources.

For example, a retail store wants to expand into other markets or regions for business expansion now to improve efficiency and have a centralized authority and control of all the other stores the company can adopt the internet billing, RFID tags, and cloud database where all the stores can access the information and have standardized pricing and customer. same in the case of manufacturing through automation and implementing the Internet of Things today companies are improving their production efficiency by reducing human errors.

Speed:- In terms of speed the best example is using analytics in business decisions today we have more data than ever before at the same time need to take quick decisions and enter the market at a faster rate than competitors. To accelerate the decision process and make quick decisions technology is playing the central role. data analytics are used by more and more companies to improve there decisions making speed and innovate the products and have a first-mover advantage in the market.

Convenience: Today applications are the center of bringing convenience to people all around the world. many new business ideas have started around bringing more convenience to people and disrupted the traditional way of functioning markets, for example, Uber has disrupted the market by introducing taxi booking through the app which brought more convenience to people instead of bargaining price and waiting for a taxi you can instantly book the taxi from anywhere and you get it in 5mins. same with Airbnb disrupted the hospitality sector by introducing the unconventional way of sharing other person space through the app and you can book at a low price and anywhere in the city, you don't have to go looking around rooms once you land in a new city.

Diversification of service: Today diversification of services is happing more quickly and a company like Google, Apple, Amazon, Tata has diversified its services in different industries with the help of technologies. understanding consumer needs building prototype and market testing can be achieved with technology at a faster rate and can be diversified into different markets quickly. Able to control and manage different developments centrally with the help of technology and building on their core competence and expanding into other sectors can be leveraged. for example, a semiconductor company can manufacture for the different markets quickly deploying the relevant technology in those sectors.

Advantage:-

1) improving business efficiency will reduce costs and bring more profits which in turn can be used to expand the business into other markets.

2) By leveraging the speed factor in business companies will have first-mover advantage in product/service launch and attract customers quickly and by providing better service they can be retained.

3) Diversification of services will reduce the risk the business is associated with and in case of service failure, it will not impact the overall business it can be restrained to only that business unit.

Disadvantage:-

1) some times companies innovate too far that the market is not ready for that kind of product or service where it backfires once launched in the market.

2) Adopting technology for many companies is a costly affair and there too many technologies in the market it is leading to confusion which one to implement and if it does not give the desired result the investment is wasted.